This paper provides the first cross-country study on the impact of regulations on the soundness of insurance firms, using data on over 1,700 insurance firms operating in 46 countries. We find that the power of the supervisory authorities and regulations related to technical provisions have an...

Macro prudential regulation requires a rigorous process for calculating bank capital charges based on their systemic risk. Using data from the largest global financial institutions we document the existence of extreme event dependence between banks during the recent financial crisis....